Whale Activity Reaches 3-Year High as Price Climbs

Crypto whale activity on exchanges has reached a three-year high, according to a chart showing the 30-day smoothed average of the Exchange Whale Ratio. This ratio measures the share of total exchange inflow coming from the largest wallets, and a rising smoothed average indicates that whale-sized deposits are making up a growing portion of what's landing on exchanges. The current reading is near 0.3-0.35, among the highest sustained levels on record.

Looking back at prior price peaks, elevated whale ratio readings have shown up before and around those tops. Large holders moving coins to exchanges tends to precede distribution, as deposits are often made for custody changes, OTC settlement, or to post collateral. However, the current climb is happening while price is also climbing, rather than after a top's already formed.

The open question is whether this rising ratio resolves into a period of price weakness following elevated whale deposits, or whether the deposits get absorbed by the kind of ETF and institutional demand that's been showing up.